Have you ever heard of a big fish in a small pond? This is what it's like when you choose a niche market and position yourself as the go-to for a specific audience.
While your competitors are targeting a larger market, you can focus on a smaller and more defined market. This makes it easier for people to say "I want this product" or "this item is a great fit for me".
A niche market is a smaller segment of a large market and can be defined by its own uniqueness or preferences, which makes it different from the market at large. For example, cruelty-free cosmetics for conscious consumers.
Here are 5 steps to choosing a niche market:
1 - Identify Your passion
Dig deep, this can be your skills, knowledge & or interest. Your niche can come naturally because it isn’t what you like doing “just for fun”. It is what you truly enjoy!
2 - Solve A Problem
Find out if there is a market for the niche product you are interested in. You have to do your research and this is very important. You can identify these problems by reading forums, conducting a survey or researching keywords.
3 - Determine The Profitability
The common mistake when choosing a niche is keeping it broad. Be specific & narrow it down but you have to make sure that the niche is profitable. If you can't find any profitable offers in your niche product category, then luck is not on your side.
4 - Research Competitors
Take a look at your competitors and use this as a way to differentiate yourself. Here’s the thing, even if there are tons of competitors think about how you are going to stand out and create a unique offer. Ask yourself is there an opportunity?
5 - Test The Market
At this stage, the next thing you have to do is test your niche market. You can do this by offering samples, having a pre-sale or discounts. Though your budget may be small you can set up a landing page and monitor your customers' reactions.
Once you’ve followed these steps, and you have confirmed the viability of your idea you can go for it! Don't get stuck on "choosing the niche" the first step is actually STARTING. This is how you will truly know the niche market is going to respond to your offering.